--Requirements
1 | Dollar sales for company to Break even | $495,000 | [See Working #1] |
2 | Dollar sales for NORTH REGION to Break even | $230,000 | [See Working #2] |
3 | Dollar sales for SOUTH REGION to Break even | $115,000 | [See Working #2] |
--Working #1
A | Traceable fixed expenses | $138,000 |
B | Common Fixed expenses | $60,000 |
C = A+B | Total Fixed expenses | $198,000 |
D | Contribution margin | $300,000 |
E | Sales | $750,000 |
F = (D/E) x 100 | Overall CM Ratio | 40% |
G = C/F | Companywide Break even point in dollar sales | $495,000 |
--Working #2
North | South | ||
A | Traceable fixed expenses | $69,000 | $69,000 |
B | Contribution margin | $150,000 | $150,000 |
C | Sales | $500,000 | $250,000 |
D = (B/C) x 100 | CM Ratio | 30% | 60% |
E = A/D | Break even point in dollar sales | $230,000 | $115,000 |
Sales Variable expenses Contribution margin Traceable fixed expenses Total Company $ 750,000 450,000 300,000 138,000 North...
Piedmont Company segments its business into two regions-North and South. The company prepared the contribution format segmented income statement as shown: Sales Variable expenses Contribution margin Traceable fixed expenses Segment margin Common fixed expenses Net operating income Total Company $ 937,500 637.500 300,000 142,000 158,000 62,000 $ 96,000 North $ 750,000 600,000 150,000 71,000 $ 79,000 South $ 187,500 37,500 150,000 71,000 $ 79,000 Required: 1. Compute the companywide break-even point in dollar sales. 2. Compute the break-even point in...
Piedmont Company segments its business into two regions-North and South. The company prepared the contribution format segmented income statement as shown: Sales Variable expenses Contribution margin Traceable fixed expenses Segment margin Common fixed expenses Net operating income Total Company $ 937,500 637,500 300,000 152,000 148,000 64,000 $ 84,000 North $ 750,000 600,000 150,000 76,000 $ 74,000 South $ 187,500 37,500 150,000 76,000 $ 74,000 Required: 1. Compute the companywide break-even point in dollar sales. 2. Compute the break-even point in...
Piedmont Company segments its business into two regions-North and South. The company prepared the contribution format segmented income statement as shown: Total Company $ 937,500 637,500 300,000 142,000 Sales Variable expenses Contribution margin Traceable fixed expenses Segment margin Common fixed expenses Net operating income North $750,000 600,000 150,000 71,000 $ 79,000 South $ 187,500 37,500 150,000 71,000 $ 79,000 62,000 $ 96,000 Required: 1. Compute the companywide break-even point in dollar sales. 2. Compute the break-even point in dollar sales...
Piedmont Company segments its business into two regions-North and South. The company prepared the contribution format segmented income statement as shown: Sales Variable expenses Contribution margin Traceable fixed expenses Segment margin Common fixed expenses Net operating income Total Company $ 937,500 637,500 300,000 152,000 148,000 64,000 $ 84,000 North $750,000 600,000 150,000 76,000 $ 74,000 South $ 187,500 37,500 150,000 76,000 $ 74,000 Required: 1. Compute the companywide break-even point in dollar sales. 2. Compute the break-even point in dollar...
Piedmont Company segments its business into two regions-North and South. The company prepared the contribution format segmented income statement as shown: Sales Variable expenses Contribution margin Traceable fixed expenses Segment margin Common fixed expenses Net operating income Total Company $750,000 450,000 300,000 144,000 156,000 59,000 $ 97,000 North $ 500,000 350,000 150,000 72,000 $ 78,000 South $ 250,000 100,000 150,000 72,000 $ 78,000 Required: 1. Compute the companywide break-even point in dollar sales. 2. Compute the break-even point in dollar...
Piedmont Company segments its business into two regions—North and South. The company prepared the contribution format segmented income statement as shown: Sales Variable expenses Contribution margin Traceable fixed expenses Segment margin Common fixed expenses Net operating income Total Company $ 750,000 450,000 300,000 144,000 156,000 59,000 $ 97,000 North $ 500,000 350,000 150,000 72,000 $ 78,000 South $250,000 100,000 150,000 72,000 $ 78,000 Required: 1. Compute the companywide break-even point in dollar sales. 2. Compute the break-even point in dollar...
Exercise 6-5 Companywide and Segment Break-Even Analysis (L06-5) Piedmont Company segments its business into two regions-North and South. The company prepared the contribution format segmented income statement as shown: Sales Variable expenses Contribution margin Traceable fixed expenses Segment margin Common fixed expenses Net operating income Total Company $ 675,000 405,000 270,000 132,000 138,000 58, Bee $ 80,000 North $450,000 315,000 135,000 66,000 $ 69,000 South $225,000 90.000 135,000 66,000 $69.000 Required: 1. Compute the companywide break-even point in dollar sales....
Exercise 7-5 Companywide and Segment Break-Even Analysis (L07-5) Piedmont Company segments its business into two regions-North and South. The company prepared the contribution format segmented income statement as shown: Total Company $ 937,500 637,500 300,000 Sales Variable expenses Contribution margin Traceable fixed expenses Segment margin Common fixed expenses Net operating income North $750,000 600,000 150,000 76,000 $ 74,000 South $ 187,500 37,500 150,000 76,000 $ 74,000 148,000 64,000 $ 84,000 Required: 1. Compute the companywide break-even point in dollar sales....
Sales Variable expenses Contribution margin Traceable fixed expenses Segment margin Common fixed expenses Net operating income Total Company $1,020,000 765,000 255,000 156,000 99,000 65,000 34,000 East $ 680,000 44000 136,000 58.000 $ 78,000 $340,000 221,000 119,000 98,000 $ 21.000 Required: 1. Compute the companywide break-even point in dollar sales. 2. Compute the break-even point in dollar sales for the East region. 3. Compute the break-even point in dollar sales for the West region. 4. Prepare a new segmented income statement...
Piedmont Company segments its business into two regions-North and South. The company prepared the contribution format segmented income statement as shown: North $925,000 740,000 185,000 78,000 $ 107,000 Total Company Sales $1,156,250 Variable expenses 786,250 Contribution margin 370,000 Traceable fixed expenses 156,000 Segment margin 214,000 Common fixed expenses 68,000 Net operating income $ 146,000 South $231,250 46,250 185,000 78,000 $ 107,000 OOK Print ferences Required: 1. Compute the companywide break-even point in dollar sales. 2. Compute the break-even point in...